Student debt relief involves various ways through which individuals who have been beneficiaries of student loan programs can be exempted from paying back the loan. Education is expensive; this is why student loan programs are running all over the country to help many of the individuals who cannot afford self sponsorship to pay for school. However, most of these loans are required to be repaid once the student completes their education. Here in Miami, student loan debt relief can be achieved in a number of ways if you are unable to repay your loans.
First of all it is important to know which loans are eligible for student loan debt relief. You can get the help of a student loan lawyer in Fort Lauderdale to get through the debt relief process. Generally, federally controlled loans are the types of student loans from which one can get debt relief. Federal student loans such as Federal Direct Plus loans, direct consolidation loan, and Stafford Loans are eligible for debt relief.
If you have any other kind of federal student loan, a lawyer can help you to convert your loan to direct consolidation loans before you can get debt relief. This is because the provisions for such borrowers have not been established so it would be difficult to get relief from such debts without converting them.
Relief from student loan debt can be granted for public service. That is, individuals who take up employment in the public and non-profit sectors such as policemen, teachers and firemen can get relief from student loans. There is a minimum working period of ten years for any of these debts to be cleared. Consult with a to find out if your employment area is eligible for this program.
Income based loan relief programs require one to meet a certain number of requirements before the debt is forgiven. Generally, paying back student loans based on what you earn may reduce the monthly payments but also slows down the repayment process and leads to accruing of more interest. To participate in this program you have to understand which qualifications you must meet.
You should also speak to an attorney about the tax implications of loan or debt forgiveness. In some scenarios, your debt will be forgiven but you will be required to pay the taxable portion of the debt.